Law-Abiding Citizens Committing Auto Insurance Fraud

According to a recent report from the Daily Bulletin in Ontario, Calif., it seems that auto insurance fraud is not just alluring to criminals; it is catching the interest of law-abiding citizens now. The reason for the increase in auto insurance fraud from this group, however, comes from the strong need to pay bills in this tough economy.

Auto Insurance Fraud Has Increased

The report showed evidence that auto insurance fraud has increased over the past several years, due largely to the troubled economy. In the California county alone, suspected fraudulent auto insurance claims jumped nearly 12 percent in 2008. In the entire state, fraud claims increased nearly 25 percent between 2007 and 2008 and seems to be a trend that is increasing around the country.

People Don’t See Auto Insurance Fraud as a Bad Crime

In the Daily Bulletin report, prosecutor Dave Simon was interviewed and acknowledged that while law-abiding people typically don’t want to break the law, they seem to feel okay with committing auto insurance fraud because car insurance companies have plenty of money and won’t miss it if it’s gone.

Unfortunately, filing a fraudulent claim is indeed a crime. In fact, it is a felony that could result in jail time and thus should be avoided.

If you are tempted to pull your own auto insurance scam, think twice. Instead, it’s good to shop around for affordable auto insurance rates to save money and avoid the trouble that comes with auto insurance fraud.